Monday, December 3, 2012

Australia,
a traditionally staunch U.S. ally, is exploring ways to support the U.S.
strategy of increasing its involvement in Asia—often called the
rebalancing to Asia strategy—at a time when Australia has embarked on
significant cuts to its defense budget. Australia is seeking to strengthen
its long-standing defense alliance with the United States without jeopardizing
its important trade relationship with China. Australia’s strategic
geography is increasingly focused on its north and west at a time when the
United States is also increasingly focused on the same areas, namely
Southeast Asia and the northern reaches of the Indian Ocean. An analysis of Australia’s
role in the United States’ Asia strategy is particularly relevant as Congress
considers future U.S. strategy, force structure, and defense procurement
decisions.

Australia’s place in the U.S. rebalancing to Asia strategy is an important one
to a large extent because the United States and Australia share many
values and strategic perspectives. Australia’s strategic worldview
generally is one that views the United States as a force for good in the world and
in Australia’s Indo-Pacific region. The May 2012 Australian force posture
review gives insight into Australian strategic thinking relative to its
defense posture. While there is strong support for further developing
bilateral defense cooperation with the United States, planned Australian
defense budget cuts, and their potential impact on Australian defense
capability plans, may place limits on the extent to which Australian
defense capabilities can grow in the years ahead. That said, Australia has
a relatively strong economy and a political context that could lead to
more defense capability development in the future. What is clear is that there
is strong bipartisan elite and popular support in Australia for remaining
a close and valuable strategic ally of the United States.

During President Obama’s visit to Australia in 2011, he and Australian Prime
Minister Julia Gillard announced the deployment of up to 2,500 United
States Marines to Australia’s Northern Territory. This deployment is one
of the most tangible examples of the rebalancing to Asia strategy, and
also demonstrates Australia’s resolve to support that strategy. When in
Australia, President Obama stated, “Our alliance [with Australia] is going
to be indispensible to our shared future, the security we need and the
prosperity that we seek, not only in this region but around the world.”
The Marine rotational deployment announcement, and subsequent disclosures of additional
plans to further expand the United States’ already strong alliance relationship
with Australia, did much to give the rebalancing to Asia strategy military
substance. It was also during his speech to the Australian Parliament that
President Obama pledged not to cut the United States’ Asia Pacific force
posture as cuts to the U.S. defense budget are considered.

Australia’s decision to place renewed emphasis on its strategic relationship
with the United States within the context of America’s rebalancing to Asia
strategy makes its partnership with the United States a valuable piece of
U.S. strategic engagement with the Indo-Pacific region. Australia’s decision
to strengthen its American alliance may also reflect growing uncertainty in
Canberra with the evolving correlates of power in Asia.

Date of Report: October 26, 2012
Number of Pages: 19Order Number: R42822Price: $29.95

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